STAND. COM. REP. NO.  154-16

Honolulu, Hawaii

                , 2016

RE:   H.B. No. 1640

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

Sir:

     Your Committee on Housing, to which was referred H.B. No. 1640 entitled:

"A BILL FOR AN ACT RELATING TO HOMELESSNESS,"

begs leave to report as follows:

The purpose of this measure is to:

     (1)  Address an underlying cause of homelessness in the State by requiring the Department of Labor and Industrial Relations to establish a stipend program for unemployed persons currently enrolled in job training programs;

     (2)  Encourage landlords to rent to Section 8 tenants by requiring the Department of Commerce and Consumer Affairs to establish a program that offers dwelling insurance policies for landlords renting to Section 8 tenants; and

     (3)  Encourage owners of real property to sell to first-time homebuyers by establishing a tax credit for sellers who convey an interest in real property to a qualified first-time homebuyer.

Hawaii Youth Services Network and several individuals supported this measure.  The Hawaii Public Housing Authority and Hawaii Association of Realtors supported the intent of this measure.  The Department of the Attorney General, Department of Labor and Industrial Relations, Department of Commerce and Consumer Affairs, Department of Taxation, and Tax Foundation of Hawaii provided comments.

     Your Committee has amended this measure by:

     (1)  Appropriating an unspecified amount to the Department of Labor and Industrial Relations to:

          (A)  Establish a stipend program for qualified individuals in job training programs; and

          (B)  Establish an unspecified number of positions to administer the program;

     (2)  Requiring the Hawaii Public Housing Authority, rather than the Department of Commerce and Consumer Affairs, to establish a program to offer dwelling insurance policies to landlords that rent their property to Section 8 tenants;

     (3)  Appropriating an unspecified amount to the Hawaii Public Housing Authority to:

          (A)  Establish the program that offers dwelling insurance policies to landlords renting to Section 8 tenants; and

          (B)  Establish an unspecified number of positions to administer the program;

     (4)  Removing the part that established a conveyance tax credit for owners of real property selling to first-time home buyers;

     (5)  Changing the effective date to July 1, 2050; and

     (6)  Making technical, nonsubstantive amendments for clarity, consistency, and style.

     Should the Committee on Finance deliberate on this measure, your Committee on Housing respectfully requests that it consider examining what amount of funding and positions are needed for:

(1)  The stipend program for qualified individuals enrolled in job training programs; and

(2)  The program offering insurance policies to landlords renting to Section 8 tenants.

     As affirmed by the record of votes of the members of your Committee on Housing that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1640, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1640, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Housing,

____________________________

MARK J. HASHEM, Chair